The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-01-11
~ Cheapest aud Best MANURE I'm the Market.
Dr Send for Circulars and Prices.
ORGILL BROTHERS & CO.

Vi IH0 IUChi InlSo
over each road. as ZONE have
claimed, the section as it stands
simply requires that each railroad
company shall observe the short haul
principle as 10 its own rates, and that
the same principle shall also be OBJ
served by a combination of roads as
to the the joint through rates between
points upon their roads agreed upon
by such q combination. Mr.. George
objected 10 the Interpretation put upon
the words under like circumstan ces
and conditions" by Mr.. Cullom. He
did not believe that it WEE the true and
legitimate Interpretation, and pro-
tested against the bill going through
the Senate with an authoritative expo
sition OF the meaning of these woi DIS
as given by the Senator from Illinois.
Senator Cullom: The Senator from
Mississippi has a right to put any con
struction he chooses on the words.
They were put into the original bill by
the Senate because the sections with
out them ware too rigid, and 1t was
feared that it would int. # IRE with the
general commerce Of the country.
They were put there TO mean some
thing aud they do mean something.
In reply to Senator Aldricb, Senator
Harris (Tenn.) undertook to explain
and defend the fourth section of the
bill. There was, be said, four distinct
and independent lines tf railroad be-
tween San Francisco and New York.
These become one line by a contract
and agreement between them. If they
charged 500 a car from San Francisco
to New York, that WAS the maximum
rate which they could charge from
Ogden or Omaha to New York.
Senator Aldrich-Then they could
charge 500 a car from Ogden or Omaha,
or Chicago or Buffalo.
Senator Harris-There is no reason
to be found in this bill why they may
not charge from any intermediate
point up to the maximum Of the
Though charge, except that the charge
be unreasonable.
SENATOR STANFORD ARGUED AGAINST
THE BILL.
He said that it tended not only to pre-
vent competition by railroads, but it
exhibited a tendency to foster water
ways, to the prejudice of railroad
interests. II the object were 10 en-
nance the water liBes at the expense
Of the railroads, he did not know how
a bill could be framed to secure such
an object better than the pending
bill. II the railroad business was
legitimate there could be no justifica-
ton for d~epriving the owners of rail-
roads of the control of their prop
erty. The bill seemed to him to be
clearly in violation OF the rights of
property and Of the rights Of labor, to
formed. 1t was also q encouragement
to that class Of investment 10 regard
to the long and short haul section, he
argued that water and other competi-
tons sometimes made it absolutely
necessary to charge for interme-
date business than for through bust
ness. All the overland lines fiud their
rates very largely controlled and in
1uenced by the routes by way OF the
Isthmus of Panama and Cape Horn;
meeting that competition, and being
willing to accept a small profit where
a larger cannot be had,
they carry along the line
bstween she two extreme points
the same character OF freight at less
rates than it is carried from East to
West or from West to East to inter
mediate places. Thus, because of
competition, freight going from New
York to San Francisco may pass over
the various lines of road making
up a through line for, perhaps, half
their regular rates-say from New
York to Buffalo, from Buffalo to Chi.
csgo, from Chicago to Omaha, from
Omaha to Salt Lake, and 60 on to des-
tination ON the Pacific coast. No
profit is 80 smell az to be despised.
Business is done at that rate rather
than not do it at all. Take q more
marked illustration. The Southern
Pacific road strikes the At
lantic waters at a much less
distance than any of it's more
Northern competitors, it has q
line Of easy gradients comparatively,
and 1t completes not only with its
Northern rivals, but more particularly
with the Cape Horn and Isthmus Of
Psnama routes, because of its shorter
line and easy gradient. In this COM
petition it often takes freight between
tho two oceans a. low as $40.
while it takes freight half way
for, say $50 a ton, a most reasonable
rate for the limited local business of
that country. Now, If it only makes 81
net on the freight from San Francisco
to New Orleans at $40, it is glad to
make that 81 where it can get no
more, but a ton of freight going to "a
Paso, something over half the dis
lance, will pay $50 a Ton.
Now, if the freight to New Or
leans pays ST. profit, the freight
going a less distance to Ell Paso would
pay as much profit at twenty-one tons
going through to New Orleans; and
tho rates charged to Ell Paso are but
fair, as is shown by the gross earnings
and gross expenses of the road, leav-
ing bat q very narrow net profit. The
shorter distance ia not charged any
more because of the lesser rates for
the longer distance. Indeed, the
longer distance helps the railroad
company to msintain itself, while
without that help perhaps they could
not do the shorter business at all. Is
this Congress prepared to say that
email earnings shall be despised; that
they shall not be secured when great
er cannot be had2 rethey prepared
to deny to individual shippers and
communities the benefit Of their
more favorable location, whether
made 80 because Of the geography
and topography Of the country, or by
artificial means. 1t is the misfortune
of some places not to be so well To-
Gated, and not the fault of the more
favorable places that nature or art
hes given them superior advantages.
1t eeems to me that Congress might
with equal propriety deny the ship
per the right to avail himself Of the
natural or artificial advantages, az to
deny 10 the rniirosd the right TO avail
itself of opportunities TO meet COM
petition. The long haul at cheap COM
petiDR rates, is really beneficial 10 the
ISee Fifth PREo.I -